If You Had Bought Elys Game Technology (NASDAQ:ELYS) Shares Five Years Ago You'd Have Earned 41% Returns

If you buy and hold a stock for many years, you'd hope to be making a profit. Better yet, you'd like to see the share price move up more than the market average. But Elys Game Technology, Corp. (NASDAQ:ELYS) has fallen short of that second goal, with a share price rise of 41% over five years, which is below the market return. On a brighter note, more newer shareholders are probably rather content with the 41% share price gain over twelve months.

See our latest analysis for Elys Game Technology

Elys Game Technology isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. When a company doesn't make profits, we'd generally expect to see good revenue growth. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.

In the last 5 years Elys Game Technology saw its revenue grow at 35% per year. That's well above most pre-profit companies. It's nice to see shareholders have made a profit, but the gain of 7% over the period isn't that impressive compared to the overall market. You could argue the market is still pretty skeptical, given the growing revenues. It could be that the stock was previously over-priced - but if you're looking for underappreciated growth stocks, these numbers indicate that there might be an opportunity here.

The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).

It's good to see that there was some significant insider buying in the last three months. That's a positive. That said, we think earnings and revenue growth trends are even more important factors to consider. If you are thinking of buying or selling Elys Game Technology stock, you should check out this free report showing analyst profit forecasts.

A Different Perspective

It's good to see that Elys Game Technology has rewarded shareholders with a total shareholder return of 41% in the last twelve months. That's better than the annualised return of 7% over half a decade, implying that the company is doing better recently. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. To that end, you should learn about the 4 warning signs we've spotted with Elys Game Technology (including 1 which is concerning) .

Elys Game Technology is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on US exchanges.

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This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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